1 of 29 MEMORANDUM

DATE: April 9, 2014

SUBJECT: Technical Support Document: Revisions to Alaska Administrative Code, Title 18, Chapter 50 Air Quality Control (18 AAC 50)

FROM: Donna Deneen, Air Planning Team Kristin Hall, Air Planning Team

THRU: Debra Suzuki, Unit Manager, Air Planning Unit

TO: Docket File EPA-R10-OAR-2011-0916

Table of Contents

I. Purpose

II. Background

III. Alaska SIP Revisions Submitted to the EPA A. Summary of Submittals B. Key Changes to 18 AAC 50 C. Proposed Action 1. Provisions the EPA is Proposing to Approve and Incorporation by Reference 2. Provisions the EPA is Proposing to Not Approve 3. Provisions the EPA is Removing from the SIP or from Incorporation by

Reference 4. Provisions the EPA is Taking No Action On

I. Purpose

The purpose of this Technical Support Docume nt (TSD) is to describe the substantive changes to the State of Alaska air quality regu lations at Alaska Administrative Code, Title 18, Chapter 50 Air Quality Control (18 AAC 50) and related statutes that have been submitted by the State as revisions to its State Implementation Plan (SIP), document our evaluation of how these provisions comply w ith the EPA’s minimum requirements for SIPs, and explain the basis for our proposed action. 1 Although Alaska’s rules have been amended in several separate State rulemakings since we la st approved revisions to the Alaska SIP, this

TSD does not discuss all of thos e individual amendments. Rather it discusses only the most

1 Note that EPA is acting on the version of 18 AAC 50 in each submittal that is associated with the signed and certified Adoption Order and F iling Certificate for Permanent Regulations and is not acting on the version of 18 AAC 50 in each submittal (tabbed as “Appx V 2.1(d)) that is described as “provided by the Department of Environmental Conservation as a public courtesy” and as a version that “the Department of Environmental Conservation cannot guarantee its absolute accuracy.” These “public courtesy” versions were used for informational purposes only.2 of 29 recent amendment to any particular provision. This TSD describes how the current Alaska rules differ from the current SIP and why we believe the chan ges are approvable.

II. Background

The EPA last approved major revisions to the St ate of Alaska air qual ity regulations at 18 AAC 50 on August 14, 2007 (72 FR 45378) (“2007 action”). Since then, the Alaska Department of Environmental Conservation (ADEC) has submitted multiple revisions to these rules for SIP-approval. These Alaska submissions include rule changes to reflect revisions to air quality standards and ar ea designations, updated Federal requirements adopted by reference in the Alaska SIP, revisi ons to Alaska’s permitting rules, and removal of provisions that are duplicat ed in other regulations. We a pproved or partially approved a number of these submissions on February 9, 2011 (76 FR 7116), October 22, 2012 (77 FR 64425), May 9, 2013 (78 FR 27071), and February 14, 2013 (78 FR 10546). See below for a summary of the submissions evaluated in this document.

III. Alaska SIP Revisions Submitted to the EPA

A. Summary of Submittals

Table 1 includes a list of each SIP submittal including the date of submittal, the rule provisions revised and submitted, the State rule adoption date, and the State rule effective date. Section III. B below provides a more detailed description of each submittal along with the EPA’s review and proposed action.

Table 1: SIP Submittals addressed in this TSD

Date on

Letter Receipt

Date (Submittal Date) Rule provisions in
18 AAC 50

revised and submitted State Adopted State

Effective

02/07/2008 02/13/2008 990 11/30/2007 12/20/2007

12/8/2009 12/11/2009 015, 020, 030, 035, 040, 050, 055, 215, 225, 306, 400, 502, 508, 509, 540, 542, 544, 546,

990 6/25/2008 7/25/2008

12/8/2009 12/11/2009 030, 035, 052, 345, 346, 544 10/10/2008 11/9/2008

4/9/2010 4/14/2010 010, 030, 035, 215, 710, 715, 720, 990 3/2/2010 4/1/2010

11/19/2010 11/29/2010 015, 040, 055, 225, 302, 306, 346, 502, 508, 510, 540, 542, 544, 990 11/9/2010 12/9/2010

10/17/2011 10/21/2011 010, 035, 215, 220, 326, 990 8/3/2011 9/17/20113 of 29 12/6/2012 12/10/2012 035, 040, 215, 220, 225, 302, 345, 400, 540, 990 8/15/2012 9/14/2012

1/24/2013 1/28/2013 010, 020, 035, 040, 215, 306, 502, 540, 542 12/5/2012 1/4/2013

It is important to note that some of the re visions submitted by Alaska are minor editorial changes such as corrections to cross-referenc es, and changes to resolve internal regulation

conflicts. We have not described minor edit orial changes where they do not change the meaning of the rule. Section III.B below de scribes the key changes to 18 AAC 50 for each rule provision.

B. Key Changes to 18 AAC 50

Article 1. Ambient Air Quality Management

18 AAC 50.010 Ambient Air Quality Standards

Summary

Alaska revised 18 AAC 50.010 a number of tim es to update the State of Alaska ambient air quality standards. Specifically, Alaska revised this rule to align with changes to the 2006 fine particulate matter (PM 2.5 ) NAAQS, 2008 lead (Pb) NAAQS, 2010 sulfur dioxide (SO 2 ) NAAQS, and 2010 nitrogen dioxide (NO 2 ) NAAQS. Previously on October 22, 2012 (77 FR 64425) , the EPA approved Alaska’s revision to this rule to align the Stat e ozone ambient air quality st andard with the revised 2008 ozone NAAQS.

Analysis The EPA is proposing to approve these revisions to align the Alaska ambient air quality

standards with the Federal 2006 PM 2.5 NAAQS, 2008 Pb NAAQS, 2010 SO 2 NAAQS,

and the 2010 NO 2 NAAQS, promulgated in 40 CFR part 50. Because the submitted

revisions are consistent with the Federa l NAAQS, the EPA is proposing to approve 18 AAC 50.010, except for paragraphs (7) and (8 ), which set State ambient air quality standards for reduced sulfur compounds and ammonia, respectively. Consistent with our previous action on August 14, 2007 ( 72 FR 45378), we are proposing to not approve (7) and (8) into th e SIP because they establish State ambient air quality standards for reduced sulfur compounds and ammonia, are not NAAQS established under section 109 of the CAA, and the Stat e has not relied on these provisions to

demonstrate attainment or maintenance of the NAAQS or meet other specific requirements of section 110 of the CAA.

18 AAC 50.015 Air Quality Designations, Cl assifications and Control Regions

Summary Alaska added subparagraph (b)(3) to the rule to identify the PM 2.5 nonattainment area

for the Fairbanks and North Pole urban area. Alaska also added an Editor’s note to clarify that nonattainment and maintenance areas, air quality control regions, and the4 of 29 Class I area boundaries can be found in the State’s Air Quality Control Plan and 40 CFR part 81.

Analysis The EPA is proposing to approve these re visions which update the Alaska SIP to include the most recently designated nonattain ment area in the State. Although Alaska

describes the nonattainment area as the “Fairb anks and North Pole urban area” while 40 CFR part 81 describes the nonattainment ar ea as “Fairbanks AK: AQCR 09 Northern

Alaska Intrastate: Fairbanks North Star Borough (part),” the State’s reference to designation by the Federal administrator in 18 AAC 50.015(b) and its reference to 40CFR part 81 in the Editor’s note make clear that the State means the Federallydesignated nonattainment areas in 40 CFR pa rt 81. Because the revisions in 18 AAC

50.015 are consistent with the nonattainment ar ea designations in 40 CFR part 81, these revisions are approvable.

18 AAC 50.020 Baseline Dates and Maximum Allowable Increases

Summary This provision specifies baseline dates a nd associated maximum allowable increases over minor source baseline concentrations for NO, SO 2 , PM 10 , and PM 2.5 . Alaska revised Table 2, “Baseline Dates,” to clarify that these are minor source baseline dates,

added PM 2.5 to the table, and revised the entry for the PM 10 baseline date for Southeast Alaska Intra-state Air Quality Control Regi on. Alaska also revi sed paragraph (b) to clarify that the baseline da tes are minor source baselines dates, and added subparagraph (b)(5) to clarify that a concentration for a particular pollutant is prohibited from exceeding the associated ambient air quality standard at 18 AAC 50.010. Alaska also revised Table 3, “Maximum A llowable Increases” by adding PM 2.5 and the associated increments to the table. In addition, Alas ka revised paragraph (e ) to reference 40 CFR 52.21(b)(13) for purposes of determining base line concentrations within a baseline area, and removed the subparagraphs (e)(1) and (e)(2). Finally, a new paragraph (g) was added to define the meaning of the term “baseline area.”

Analysis In 18 AAC 50.020 Table 2, the new baseline date entries for PM 2.5 and the amended baseline date entry for PM 10 in the Southeast Alaska In tra-state Air Quality Control Region are approvable because th ey clarify that the baseline dates will be determined using the already-established Federal defin ition for minor source baseline dates. The addition of 18AAC 50.020(b)(5) providing that a pollutant concentration is prohibited from exceeding the ambient air quality standa rd is approvable because it clarifies the limitation that concentrations above the ambient air quality standard are prohibited. Revisions to 18 AAC 50.020(e) are approvable, including the removal of (e)(1) and (2), because they clarify that baseline concentr ations will be determined using the alreadyestablished provisions in 40 CFR 52.21(b)(13) to determine those concentrations. Finally, the addition of a new paragraph at 18 AAC 50.020(g) is approvable because it

defines “baseline area” to be consistent with how baseline area is defined in 40 CFR 52.21(b)(15). All of these revisions are clarif ications and are consistent with the CAA and implementing provisions in 40 CFR part 52 and 81 and are therefore approvable.5 of 29 18 AAC 50.030 State Air Quality Control Plan

Summary

The State’s submissions are codified as revisions to regulation 18 AAC 50.030, State Air Quality Control Plan. The submissions addressed in this action revise the appendices to the Air Quality Control Pr ogram (Volume III, 18 AAC 50 Air Quality Control) by amending 18 AAC 50.030. We ar e proposing to not approve the submitted

revisions to 18 AAC 50.030 because the refere nced documents that form the basis for the submissions are being individually appr oved in this action. The EPA takes action directly, as appropriate, on the specific provi sions in the State Air Quality Control Plan that have been submitted by Alaska, so it is unnecessary for the EPA to approve 18

AAC 50.030.

18 AAC 50.035 Documents, Procedures, a nd Methods Adopted By Reference

Summary This provision adopts by reference Alaska in situ burning guidelines, various Federal monitoring and modeling requirements and guidan ce, State title V application forms, in addition to Federal air quality standard reference and interpretation methods and procedures, and standard test methods. Alas ka revised paragraphs (a) and (b) to update the citation dates of the adoption by reference of these provisions. Alaska also revised subparagraph (a)(6) to re move the department’s Summary Prepared by the Department of Environmental Conservation of Coastal Area Boundaries Approved by the Coastal Policy Council (CPC) for Coastal Resource Districts Excluded from the Portable Oil and Gas Operation Permit by Rule (18 AAC 50.390), as revise d as of November 19, 2002. In its place, Alaska added the adop tion by reference of the department’s Title V Standard Application and Forms , revised as of March 2012, and the AERSCREEN

User’s Guide , EPA 454/B-11-011, dated March 2011.

Alaska revised paragraph (b) to adopt by reference new appendices to 40 CFR part 50, specifically, appendices G, L, N, Q, R, S, and T. In addition, th e State repealed the adoption by reference of 40 CFR part 50, Appendi x H, the “Interpretation of the 1-Hour Primary and Secondary NAAQS for Ozone.”

Analysis Except for the adoption by reference of the department’s Title V Standard Application

and Forms in subparagraph (a)(6), the EPA is propos ing to approve the changes to this provision because the revisions update the Al aska SIP for the latest versions of documents adopted by reference, and a dds several new Federal reference and interpretation methods required to impleme nt new and revised NAAQS. In addition,

the removal of the document related to co astal area boundaries is approvable because the rule that originally referenced the document (18 AAC 50.390) is not part of the Federally-approved SIP, and was repealed from the Stat e regulations on October 1, 2004. There is no other provisi on that refers to this doc ument in the Alaska SIP.6 of 29 The removal of the adoption by reference of 40 CFR part 50, Appendix H (Interpretation of the 1-Hour Primary a nd Secondary NAAQS for Ozone) is approvable because in 1997, the EPA revoked the 1-hour oz one standard. Alaska has no areas with continued obligations under the 1-hour oz one standard; therefor e removal of this adoption by reference pr ovision is appropriate.

We are proposing to not approve subparag raph (a)(6) relating to the department’s Title V Standard Application and Forms because the provision implements requirements of title V of the CAA and not requirements of section 110 of title I of the CAA.

Consistent with our previous action on the Alaska SIP (August 14, 2007, 72 FR 45378), we are proposing to not approve 18 AAC 50.035 (b)(4), which specify test methods related to 40 CFR part 63. This provision is inappropriate for SIP approval because it is

not related to attainment or maintenance of the NAAQS or other specific requirements

of section 110 of the CAA.

18 AAC 50.040 Federal Standards Adopted By Reference

Alaska adopts by reference various portions of the Federal regulati ons that have been codified in the Code of Federal Regula tions (CFR). However, when a Federal regulation originally adopted by referen ce into 18 AAC 50 on a specific date is subsequently changed, the original adopti on by reference in 18 AAC 50 becomes out of date and, in some cases, inconsistent with th e revised version of th e Federal regulation in the CFR. To avoid potential inconsis tencies and keep 18 AAC 50 up to date with changes in Federal regulations, Alaska period ically submits a revision to its SIP that updates IBR citations to refl ect any changes that have been made to the Federal regulations. The updated citations in 18 AAC 50.040 were submitted on December 11, 2009, November 29, 2010, December 10, 2012, and January 28, 2013.

The revisions submitted on December 11, 2009, November 29, 2010, December 10, 2012, and January 28, 2013, update the most recen t Federal regulation references in 18 AAC 50.040. We are evaluating the most recen tly adopted and submitted provisions of

18 AAC 50.040. Further action on the earlier adopted versions of these provisions included in the State’s submittals is not requ ired because they are no longer in effect and have been superseded by the most recent version submitted by the State. The following provides a summary and analysis of the resulting revisions to paragraphs (a) through (j) of this section.

18 AAC 50.040 (a), (b), (c), (d), (e), (g), and (j) Summary and Analysis These provisions contain emission standards for 40 CFR parts 60, 61, 62, 63, 70, 71, and 82 sources. These types of provisi ons are inappropriate for SIP approval because these provisions implement othe r requirements of the CAA and Alaska is not relying on them to demonstrate attainment or maintenance of the NAAQS or to meet other requirements of sec tion 110 of the CAA. The EPA is therefore proposing to not approve 18 AAC 50.040(a), (b ), (c), (d), (e), (g), and (j)(1) through (8) because they are inappropria te for the EPA’s approval (see 72 FR7 of 29 45378). The EPA proposes to not approve ne w subparagraph (j)(9 ) relating to 40 CFR part 71 for the same reason.

18 AAC 50.040 (f) Summary and Analysis Alaska revised provisions in paragraph (f) to update the a doption by reference date for 40 CFR part 51, Appendix W, Guidelines on Air Quality Models, revised as of July 1, 2011. The EPA is proposing to approve this revision to update the adoption by reference of these Federal air quality modeling guidelines.

18 AAC 50.040 (h) Summary and Analysis Alaska revised paragraph (h) to adopt by reference specific provisions of 40 CFR 51.166 and 40 CFR part 52 as revised as of July 1, 2011 to implement its “Prevention of Significant Deteriorat ion” (PSD) permitting program.

Subparagraph (4)(B)(vi) related to the definition of “fugitive emissions” was repealed by the State on January 4, 2013, resulting in Alaska’s adoption by

reference of the Federal definition of fugitive emissions at 40 CFR 52.21(b)(20). Similarly, the removal of the definitio n of “regulated NSR pollutant” in subparagraph (4)(C) results in the State’s adoption by reference of the Federal definition of “regulated NSR pollutant ” at 52.21(b)(50). These changes are consistent with CAA requirements.

Subparagraph (4)(D) was added to state th at the Federal definition of “baseline area” at 40 CFR 52.21(b)(15) is not adopt ed and the term defined in that provision has the meaning given in 18 AAC 50.020(g). 18 AAC 50.020(g)

identifies the baseline areas for the St ate of Alaska. Both the definition and identified areas in 18 AAC 50.020(g) are c onsistent with the Federal definition of “baseline area” in 40 CFR 52.21(b)(15).

Subparagraph (5) rela ting to Ambient Air Ceilings was repealed on January 4, 2013. The requirement that the maximum allowable concentration may not exceed the NAAQS is adequately addressed in 18 AAC 50.020(b)(5).

Alaska’s revisions to subparagraphs (7) and (9) adopt by reference 40 CFR 52.21(i) (relating to the significant m onitoring concentrat ion (SMC)) and 40 CFR 52.21(k) (relating to the si gnificant impact level (S IL)), as of July 1, 2011. Both adopted-by-reference provisions were revised in the EPA’s 2010 PSD

PM 2.5 Implementation Rule (October 20, 2010, 75 FR 64864). However these provisions are impacted by a recent c ourt decision and subsequent EPA regulatory revisions. On January 22, 2013, the U.S. Court of Appeals for the District of Columbia, in Sierra Club v. EPA , 703 F.3d 458 (D.C. Cir. 2013), issued, with respect to the SMC, a judgment that, inter alia , vacated the provisions of the EPA’s 2010 PSD PM 2.5 Implementation Rule adding the PM 2.5 SMC to the Federal regula tions at 51.166(i)(5)(i)( c ) and 52.21(i)(5)(i)( c ). In its8 of 29 decision, the court held that the EPA did not have the authority to use SMCs to exempt permit applicants from the statut ory requirement in section 165(e)(2) of the CAA that ambient monitoring data for PM 2.5 be included in all PSD permit applications. Thus, although the PM 2.5 SMC was not a required element of a State’s PSD program, w h ere a state PSD program contains such a provision and allows issuance of new permits without requiring ambient PM 2.5 monitoring data, such application of the vacated SMC would be inconsistent with the court’s opinion and the requirements of section 165(e)(2) of the CAA.

At the EPA’s request, the decision also vacated and remanded to the EPA for further consideration the portions of the 2010 PSD PM 2.5 Implementation Rule

that revised 40 CFR 51.166 and 40 CFR 52.21 related to SILs for PM 2.5 . The EPA requested this vacatur and remand of two of the three provisions in the EPA regulations that contain SILs for PM 2.5 , because the wording of these two SIL provisions (40 CFR 51.166(k)(2) and 40 CF R 52.21(k)(2)) is inconsistent with the explanation of when and how SILs should be used by permitting authorities that we provided in the preamble to the Federal Register publication when we promulgated these provisions. The third SIL provision (40 CFR 51.165(b)(2))

was not vacated and remains in effect. In addition, the court’s decision does not

affect the PSD increments for PM 2.5 promulgated as part of the 2010 PSD PM 2.5 Implementation Rule.

The EPA recently amended its regula tions to remove the vacated PM 2.5 SILs and SMC provisions from the PSD regula tions (December 9, 2013, 78 FR 73698). The EPA will initiate a separate rulemaking in the future regarding the PM 2.5 SILs that will address the Court’s remand. In the meantime, the EPA is advising states to begin preparations to remove the vacated provisions from state PSD regulations.

Consistent with the vacatur and repeal or revision of the EPA regulations as they

relate to the PM 2.5 SMC and the PM 2.5 SILs, Alaska has subm itted a letter dated February 12, 2014, withdrawing the PM 2.5 SIL provisions found in 40 CFR 52.21(k)(2) and the PM 2.5 SMC provisions found in 40 CFR 52.21(i)(5)(i)(c). A copy of Alaska’s letter is in the docket for this action. Although these provisions

remain in effect as a matter of State la w, Alaska has confirmed that it will not apply either the PM 2.5 SMC provisions at 40 C.F.R. 51.166(i)(5)(i)(c) and 52.21 (i)(5)(i)(c) or the PM 2.5 SILs provisions at 40 CFR 51.166(k)(2) and 52.21(k)(2) in implementing its PSD program. In addition, the February 12, 2014 letter

states that Alaska intends to remove th e vacated provisions to ensure consistency

with Federal law. Because Alaska has withdrawn the PM 2.5 SILs and SMC provisions in 18 AAC 50.040(h)(7) and (9) from its SIP submissions, the EPA’s approval of 18 AAC 50.040(h)(7) and (9) does not include the PM 2.5 SILs and

SMC.

Alaska repealed the provisions in subpara graphs (17), (18) a nd (19) that related to “clean units” and the pollution control projects exclusion. The comparable Federal provisions were initially vaca ted by a court and then repealed by the9 of 29 EPA and are now also no longer in effect as a matter of State law. Repeal of these provisions does not affect the SI P because the EPA had not approved these provisions into the SIP.

Subparagraph (20) was revised to add ex ceptions to “Actuals PALs” adopted by reference in 40 CFR 52.21( aa). Specifically, Alaska added an exception at (20)(A) that mass balance calculati ons, as authorized under 40 CFR 52.21(aa)(12)(ii)(a), are also ac ceptable for activities emitting SO 2 from the

combustion of fuel to the extent otherwis e available for activities using coatings or solvents. This includes the requirement that the emission unit is assumed to

emit all of the sulfur in the fuel as SO 2 . Alaska also added subparagraph (20)(B) which applies the monitoring requiremen ts of 40 CFR 52.21(aa)(12)(iii) to owners or operators using mass balan ce calculations to monitor plantwide applicability limitation (PAL) pollutant emissions from activities emitting SO 2 from the combustion of fuel. These provi sions are approvable because they are an appropriate method of determining compliance with a PAL for the narrow activity added by ADEC’s rules.

Alaska added subparagraph (21) to adopt by reference 40 CFR 52.22

Enforceable Commitments for Furthe r Actions Addressing the Pollutant Greenhouse Gases (GHGs)). This provisi on is inappropriate for SIP approval

because it is related to a Federal commitment that is not applicable to the State. The EPA is therefore proposing to not approve subparagraph (21).

In summary, the EPA is proposing to a pprove the revisions to 18 AAC 50.040(h) except for subparagraph (21). We are not taking action on subparagraphs (7) and (9) because these provisions we re withdrawn by the State.

18 AAC 50.040 (i) Summary and Analysis

The state submitted revisions to 18 AAC 50.040(i) in its December 11, 2009, November 9, 2010, December 10, 2012, and January 28, 2013 submittals. The EPA is not addressing these revisions in this action to give Alaska the opportunity to revise its definition of “regulated NSR pollutant” for nonattainment areas in 18 AAC 50.040(i)(1)(B )(i). In a letter dated February 11, 2014, Alaska stated that it intends to propose revisions to the appropriate sections of 18 AAC 50 to update the “r egulated NSR pollutant” definition to adopt the additional aspects provided under 40 CFR 51.165(a)(1)((xxxvii) and to begin the public notice and comment pro cess at the first opportunity. The EPA

understands the state has already commenced a rulemaking to revise the definition of regulated NSR pollutant. In light of the commencement of that rulemaking, we are not taking action on Al aska’s submitted revisions to 18 AAC 50.040(i) at this time, but will take ac tion on the revisions at a later date.

18 AAC 50.040(k) Summary and Analysis10 of 29 Alaska added new paragraph (k) adop ting by reference the provisions of 40 CFR part 64 to the extent they appl y to title V sources. This provision implements requirements of 40 CFR part s 64 and 71 and not the requirements of

section 110 of the CAA. In the absence of a specific request from Alaska that this provision be included in the SIP, the EPA is proposing to not approve this provision.

18 AAC 50.050 Incinerator Emission Standards.

Summary and Analysis The EPA is proposing to approve the minor edits to this provision which revise

references to “CO2” to read “carbon dioxide.”

18 AAC 50.052 Emission Standards for Certai n Municipal Solid Waste Landfills.

Summary and Analysis Alaska submitted repealed 18 AAC 50.052 to the EPA for approval. Because this provision was not previously approved in to the Federally-approved SIP, it is unnecessary to approve this repeal.

18 AAC 50.055 Industrial Processes a nd Fuel-Burning Equipment.

Summary and Analysis The language in 18 AAC 50.055(a)(9) was reword ed to more clearly state that this provision only applies to coal burning boilers . Because the rewording is to improve the readability of this subparagraph and doe s not change the meaning, this revised provision is approvable.

In subparagraph (a)(9)(D) the term “facility ” was replaced by the more specific term “stationary source.” This revision is approva ble because it clarifies that a Federallyapproved source-specific SIP revision is necessary to change the applicable opacity limit at a stationary source located at a facility.

Consistent with our 2007 action we ar e proposing to not approve subparagraph (d)(2)(B) of this prov ision which contains emissions standards for hydrogen sulfide (72 FR 45378). This subparagraph is inappropria te for SIP approval because it is not

related to attainment or maintenance of th e NAAQS or other specific requirements of

section 110 of the CAA.

Article 2. Program Administration

18 AAC 50.215 Ambient Analysis Methods

Summary This provision regulates the appropriate methods and requirements for ambient air quality analysis. Alaska updated the refere nce in subparagraph (a )(1) to the Alaska Quality Assurance Project Plan for the St ate of Alaska Air Monitoring & Quality11 of 29 Assurance Program, adopted by reference in 18 AAC 50.030, and added PM 2.5 and ozone as pollutants covered by this plan. In addition, Alaska a dded subparagraph (a)(3) to reference the EPA’s Meteorological Mon itoring Guidance for Regulatory Modeling Applications, adopted by re ference in 18 AAC 50.035(a).

Alaska renumbered what was previously s ubparagraph (a)(3) to (a)(4). What is now subparagraph (a)(4) was prev iously added to allow ADE C to approve alternative reference test methods for collecting ambien t monitoring data. In our 2007 action the EPA did not approve this provision becau se it provides for unbounded director’s discretion (72 FR 45378). Cons istent with our 2007 acti on, we are proposing to not approve subparagraph (a)(4) in this ac tion. See also 78 FR 12460, 12485-86 (February 22, 2013).

Alaska clarified the reference in subpar agraph (b)(1) to 40 CFR part 51, Appendix W, Guidelines on Air Quality Models, adopted by reference in 18 AAC 50.040(f). In subparagraph (b)(2), ADEC replaced the re ference to 18 AAC 50.020(b)(2) (relating to maximum allowable increases in Class I, II and III areas) with the more general reference to 18 AAC 50.020 (relating to baseline dates and maximum allowable increases, in general). Alaska also clar ified subparagraph (b)(2)(B) by referencing 40 CFR 51.166(f), adopted by reference in 18 AAC 50.040.

Alaska revised paragraph (c) to clarify that the provisions in paragraph (c) relating to substituted or modified models apply to re fined air quality mode ls. Subparagraph (c)(1) and (2) were removed and replaced with a provision requiring the specific use of 40 CFR Part 51, Appendix W, for alternativ e air quality model demonstrations. Subparagraph (c)(3) was renumbered to (c)(2) and revised to clarify that approval is required by the EPA Regional Administrator.

Paragraph (d) was revised to detail how th e comparison of a modeled impact to the

SILs is conducted. Table 5 was revise d to include revised SILs for the SO 2 , PM 2.5 and

NO 2 NAAQS. However, in a letter dated February 12, 2014, Alaska withdrew the revisions to paragraph (d) and Table 5 related to the court remand of Federal provisions

related to PM 2.5 SILs and EPA’s subsequent repeal of those provisions, as described

above.

Finally, Alaska added paragraph (e) to allow for the use of the AERSCREEN dispersion model for estimating the ambient impacts from offshore sources consistent

with section 4.2.1 of 40 CF R part 51, Appendix W.

Analysis The EPA is proposing to approve the re vision to 18 AAC 50.215(a)(1) because it updates the Alaska Quality Assura nce Project Plan for the new PM 2.5 and ozone NAAQS. The EPA is also proposing to a pprove the revisions to 18 AAC 50.215 (a)(3) and (b)(1) because they bring the Alaska SIP up to date with Federal requirements for ambient air monitoring.12 of 29 The EPA is proposing to approve in subpa ragraph (b)(2) the re placement of 18 AAC 50.020(b)(2) (relating to maximum allowable in creases) with a more general reference to 18 AAC 50.020 that appropriately includes the other provisions and tables in 18

AAC 50.020 related to maximum allowable incr eases. In addition, we are proposing to approve the revision to 18 AAC 50.215(b )(2)(B) because it clar ifies and replaces Alaska’s existing increment consumption excl usion language with a direct reference to 40 CFR 51.166(f), which allows for those exclusions.

The EPA is proposing to approve 18 AAC 50.215 (c), (c)(1), and (c )(2) because these provisions clarify the requireme nts for alternative air quality models within the EPA’s guidelines for alternative models in 40 CFR part 51, Appendix W. Finally, the EPA is proposing to approve paragraph (e) to allow for the use of the AE RSCREEN dispersion

model as an allowed screeni ng technique for onshore sources consistent with section 4.2.1 of 40 CFR part 51, Appendix W.

As explained above in the discussion of 18 AAC 50.040 (h), because 40 CFR 51.166(k)(2) and 40 CFR 52.21(k)(2) relating to SILs were va cated by the U.S. Court of Appeals for the District of Columbia a nd subsequently repealed by the EPA, Alaska withdrew the revisions to paragraph (d ) submitted on October 21, 2011, December 10, 2012 and January 28, 2013, which update the SI Ls table and associated SIL-related requirements

.

Consistent with our 2007 action on the Al aska SIP, the EPA is proposing to not approve subparagraph (a)(4), which author izes ADEC to approve any alternative method that ADEC determines is “represent ative, accurate, verifiable, capable of replication.” In essence, th is subparagraph allows ADEC to modify requirements relied on to attain and maintain the NAAQS w ithout a SIP revision. For additional discussion, see the TSD for our previous action on August 14, 2007 (72 FR 45378). See also 78 FR 12460, 12485-86 (Feb. 22, 2013)

18 AAC 50.220 Enforceable Test Methods

Summary In 18 AAC 50.220, Alaska revised subparagrap h (c)(1)(F) to reference the source testing procedures for PM 2.5 at 40 CFR part 51, Appendix M. Alaska also revised subparagraph 50.220(c)(3) relating to standard exhaust gas volumes to replace the term

“source” with “emission unit.”

Analysis The EPA is proposing to approve the cha nge in subparagraph 18 AAC 50.220(c)(1)(F) because it updates the Alaska SIP to properl y reference the source testing procedures

for PM 2.5 at 40 CFR part 51, Appendix M, adopted by reference in 18 AAC 50.035. The EPA is proposing to approve the use of the term “emission unit” to be consistent

with the use of the term “emissi on unit” elsewhere in 18 AAC 50.

Subparagraph (c)(2) of 18 AAC 50.220 author izes ADEC to approve the use of an alternative method using th e procedure specified in 40 CFR part 63, appendix A,13 of 29 method 301. In essence, subpa ragraph (c)(2) authorizes AD EC to issue variances from regulatory requirements, includ ing SIP, NSPS, and NESHAP requirements. Consistent with our August 14, 2007 action on the Alas ka SIP, the EPA is proposing to not approve subparagraph (c)(2), which in esse nce allows ADEC to modify requirements relied on to attain and maintain the NAAQS without a SIP revisi on (72 FR 45378). See also 78 FR 12460, 12485-86 (Feb. 22, 2013). In addition, under the authority of CAA section 110(k)(6), the EPA is removing fr om the SIP 18 AAC 50.220(c)(1)(A), (B) and (C), which relate to NSPS, NESHAPS, a nd NESHAPS for source categories. These provisions relate to test met hods for CAA requirements that are not part of the SIP and implement other provisions of the CAA. In summary, the EPA is proposing to approve

18 AAC 50.220 “Enforceable Test Methods,” except (A), (B) and (C) in subparagraph (c)(1), and all of subparagraph (c)(2).

18 AAC 50.225 Owner-Requested Limits

Summary The provisions in 18 AAC 50.225 are a mechanism for establishing source-specific Federally-enforceable limitations that re strict a source’s allowable emissions or potential to emit air pollutants. 18 AAC 50.225 creates an approval process that is independent of the construc tion and operating permit program s. With this Federallyenforceable limitation in place, a source may be able to avoid all permitting obligations

under AS 46.14.130.

Alaska has revised paragraph (a) to clarif y that a source may request an enforceable limit to avoid all permitting obligations in AS 46.14.130 “Stationary Sources Requiring Permits.” Alaska also added subparagraph (b)( 7) to clarify that if applying all limits does not avoid all permit classifications under AS 46.14 and 18 AAC 50, then the owner or operator shall also submit a descri ption, and if necessar y, an application for the remaining classifications. In additi on, Alaska added a requirement in 18 AAC 50.225(i) that requires the owne r or operator for a stationary source that already has one or more limits approved under this section a nd is applying for a new limit to provide a copy of all the existing limits.

Analysis The EPA is proposing to approve the re visions to 18 AAC 50.225(a) and 18 AAC 50.225(b)(7) because they simply clarify what can be requested and what needs to be submitted and do not change the existing requirements for establishing source-specific

limitations under this section. We are also proposing to approve the provision in 18 AAC 50.225(i) because it provides for the s ubmission of certain information to the State and clarifies Alaska’s process and effec tive date, but does not change the existing requirements for establishing source-speci fic limitations under this section.

Article 3. Major Stationary Source Permits

18 AAC 50.302 Construction Permits

Summary and Analysis14 of 29 Article 3, Major Stationary Source Permits , contains Alaska’s major NSR program, including PSD at 18 AAC 50.306 and nonatta inment NSR at 18 AAC 50.311. The State added paragraph (c) of 18 AAC 50.302 to clarify that a subsequent revision to a title V permit term or condition that is sole ly necessary to meet a title V requirement, but was associated with an integrated review conducted unde r 18 AAC 50.306(c)(3), may be processed through the title V ope rating permit amendment or modification provisions of 18 AAC 50.326. The EPA is proposing to approve this new provision because it is appropriate and consistent with the CAA for revisions made solely for title V purposes to be revised using the title V amendment or modification provisions.

Under the authority of CAA section 110(k )(6), the EPA is removing from the SIP subparagraph (a)(3), which relates to major sources of hazardous air pollutants. This provision implements other requirements of the CAA and the State has not relied on it

to demonstrate attainment or maintenan ce of the NAAQS or meet other specific requirements of section 110 of the CAA.

18 AAC 50.306 Prevention of Significant Deterioration (PSD) Permits

Summary Alaska’s PSD program was originally a pproved into the SIP by the EPA on July 5, 1983, and has been revised several times since the original approval. The most recent major revision to Alaska’s PSD program, including NSR reform, was approved by the EPA on August 14, 2007 (72 FR 45378). Alas ka’s PSD rules essentially adopt by

reference the PSD rules in 40 CFR 52.21, with a few exceptions. In general, Alaska chooses to adopt by reference the Federal PSD rules in 40 CFR 52.21 rather than the comparable provisions in 40 CFR 51.166, which set forth what is required in a State’s plan, because 40 CFR 52.21 is written to direct ly state the requiremen ts of an owner or
operator.

In some cases, Alaska adopted provisions of 40 CFR 51.166 rather than the comparable provisions of 40 CFR 52.21 because 40 CFR 51. 166 was a better fit for a SIP-approved PSD program.

Alaska revised paragraph (b) relating to ex ceptions to 40 CFR 52.21. The definition of administrator in subparagraph (b)(1) was revi sed to clarify that the term administrator in 40 CFR 52.21(b)(48)(ii)(c) (referencing th e administrator’s pr omulgation of 40 CFR Part 63) and in 52.21(i)(1)(x) (referencing the administrator’s determination of application completion for sources or modi fications before July 31, 1987) means the “federal administrator” and not the “departm ent.” Also the definition of administrator was revised to no longer reference 40 CFR 52.21(y)(7), which is a provision that no longer exists. Other revisions to subparagra ph (b)(1) include the de finition of “national ambient air quality standard,” which Alaska revised to mean “an ambient air quality

standard set out in 18 AAC 50.010 for this state” and “ambient air increment” or “maximum allowable increase,” which Alaska revised to mean a maximum allowable

increase calculated as described in 18 AAC 50.020.15 of 29 Alaska also added language at subparagraph (b)(2) to clarify th at exclusions from increment consumption apply to the maximum extent allowed under 18 AAC 50.215(b)(2). In subparagraph (b)(3), Alaska replaced the PM 2.5 transition date of “July 15, 2008” in 40 CFR 52.21(i)(1)(x i) with “December 9, 2010.”

Analysis We propose to approve in subparagraph (b)(1 ) the references to 52.21(b)(48)(ii)(c) and 52.21(i)(1)(x) in the definition of administrator. In both cases, the term administrator is now properly defined as the fe deral administrator. We also propose to approve the removal of the reference to 40 CFR 52.21(y )(7), which was a clean unit and pollution control project provision that has been repealed by the EPA.

We are proposing to approve the definition of “national ambient air quality standard” because the referred-to ambient air qualit y standards in 18 AAC 50.010 align with the

Federal 2006 PM 2.5 NAAQS, 2008 ozone NAAQS, 2008 Pb NAAQS, 2010 SO2 NAAQS, and the 2010 NO 2 NAAQS in 40 CFR part 50. The EPA’s understanding is that the previous reference to “national am bient air quality standard” in this provision referred to the NAAQS as last adopted by re ference by ADEC so that the change in reference from “national ambient air quality st andard” to “ambient air quality standards in 18 AAC 50.010” is not a substantive change . It will remain important for ADEC to revise 18 AAC 50.010 promptly after EPA revi sions to the NAAQS so that its PSD program continues to meet EPA requirements.

The EPA proposes to approve in subparagraph (b)(1)(C) the definition of “ambient air

increment” or “maximum allowable increas e” because it appropriately refers to the

established maximum allowance increases that Alaska has set out in Table 3 of 18 AAC 50.020(b). The exclusion provision previously in subparagraph (b)(4) that refers to 40 CFR 51.166(f) was renumbered to subparagr aph (b)(2) and is approvable because it continues to cite 40 CFR 51.166(f) (through 18 AAC 50.215(b)(2)) with no changes. The EPA is proposing to approve revised subpa ragraph (b)(3), which sets December 9, 2010, as the transition date for PM 2.5 -related permit requirements, This date appropriately coincides with the State’s e ffective date of this provision, and occurs before May 16, 2011 as discussed in a Federal Register publication related to the

EPA’s 1997 PM 10 Surrogate Policy published on May 18, 2011 (76 FR 28646).

18 AAC 50.326 Title V Operating Permits

Summary and Analysis

Alaska submitted 18 AAC 50.326 (e) adopting a new emission rate basis for greenhouse gases for title V operating permits. We are proposing to not approve this paragraph because the provision implements requirements of title V of the CAA and not requirements of section 110 of title I of the CAA.

18 AAC 50.345 Construction, Minor and Opera ting Permits: Standard Permit

Conditions16 of 29 Summary This provision sets forth Standard Permit Conditions that ADEC will include in operating permits and may include in c onstruction permits. Paragraphs (a), subparagraphs (c)(1) and (c)(2), and paragraphs (d) through (o) were submitted by Alaska and approved into the SIP on August 14, 2007 (72 FR 45378). Paragraph (b) and subparagraph (c)(3) were not submitted b ecause they apply to title V permits and

do not relate to the SIP. In addition, the EPA did not approve paragraph (l) because, although it is appropriately limited to sour ce test deadlines es tablished by ADEC, it would allow permit terms to be changed without a permit revision. For additional

discussion of the basis for these decisions , see the EPA’s Augus t 14, 2007 final action on the previous version of this provisi on and the accompanying January 26, 2007 TSD (72 FR 45378).

Since the 2007 action, Alaska revised paragraph (a) to extend the us e of standard permit conditions to minor permits. Alaska also revised paragraph (j) to clarify what documents are to be certified upon submittal to the department. Finally, in 18 AAC 50.345(m), the term “source” is replaced by th e term “emission unit” with respect to

source tests.

Analysis The EPA is proposing to approve the revisions to this section. We are proposing to approve 18 AAC 50.345 “Construction and Operating Permits: Standard Permit Conditions,” except that the EPA is pr oposing to not approve paragraph (l). Consistent with our 2007 action, we ar e proposing to not approve paragraph (l) of 18 AAC 50.345 because it gives ADEC unbounded discretion to change the source testing requirements of a Federally-enforceable permit without revising the permit (72 FR 45378). See also 78 FR 12460, 12485-86 (February 22, 2013).

We are proposing to approve the changes to the heading and revi sion to paragraph (a)

to extend the use of standard permit conditions to minor pe rmits. When this section was previously adopted, the minor perm it program had not been developed and

therefore the section did not provide for the use of st andard conditions in minor permits. This section now appropriately allo ws for the use of standard conditions for minor permits. The EPA proposes to approve paragraph (j) because it more specifically

refers to the documents that need to be certified and is based on the compliance certification language of part 70. See 40 CFR 70.5(d). We are proposing to approve in paragraph (m) the use of the term “emission unit” instead of “source” because it is

consistent with the use of the term “emission unit” elsewhere in 18 AAC 50 and clarifies the level of detail requi red for a complete source plan.

18 AAC 50.346 Construction and Operating Permits: Other Permit Conditions

Summary and Analysis:

This section contains additional Standard Permit Conditions that ADEC is required to include in operating permits and, in so me cases, construction permits unless ADEC determines that emission unit-specific or st ationary source-speci fic conditions more17 of 29 adequately meet the requirements of 18 AAC 50 or that no co mparable condition is appropriate for the stationary source or emission unit.

Alaska submitted revisions to paragraphs (a), (b) and (c). Consistent with our previous action on August 14, 2007 (72 FR 45378) we are proposing to not approve 18 AAC 50.346(a) because this provision only require s corrective action after the permittee or

ADEC determines a violation has occurred and thus cannot be construed as monitoring to assure compliance.

We are proposing to not approve paragr aphs (b) and (c) b ecause the provision implements requirements of title V of the CAA and not requirements of section 110 of

title I of the CAA.

Article 4. User Fees

18 AAC 50.400 Permit Administration Fees

Summary and Analysis This section contains permit administra tion fees. Alaska submitted revisions to paragraphs (a), (e), (g), (h), and (i), subpa ragraphs (j)(19) and (20), and paragraph (m). The EPA proposes to approve the fee provisions in paragraphs (e), (g), (h), and (i), and subparagraphs (j)(19) and (20) because th ese provisions relate to fees for SIP requirements. We are proposing to not a pprove paragraph (a) because the provision implements requirements of title V of the CAA and not requirements of section 110 of title I of the CAA. It is not necessary to act on paragraph (m), which was repealed, because that provision is not currently in the Federally-approved SIP.

Article 5. Minor Permits

18 AAC 50.502 Minor Permits for Air Quality Protection

Summary The EPA’s regulations require all SIPs to contain legally enforceable procedures to ensure that construction or modification of a stationary source will not cause a violation of a NAAQS or any applicable portions of the control strategy. 40 CFR 51.160(a). For major stationary sources and major modificatio ns to major stationary sources, the PSD and major NNSR programs satisfy this requirem ent. States are also required to have new source review programs for minor sour ces meeting the requirements of 40 CFR

51.160-51.164.

Alaska's minor NSR program was originally approved into the SIP by the EPA on July 5, 1983. In its December 8, 2009, November 19, 2010, and January 28, 2013, submittals, Alaska submitted the following changes to its minor NSR rules in the

Federal SIP:

 With respect to the requirement to obt ain a minor permit in paragraph (c):18 of 29 - the terms “commencing construction” and “commencing relocation” were replaced with “beginning actual cons truction,” “beginning relocation,” and “beginning a physical change,” in subpa ragraphs (c)(1), (2), and (3);

- a new potential to emit threshold for direct PM 2.5 emissions was set at 10 TPY

for direct PM 2.5 emissions in subparagraphs (c )(1)(F) and (c)(3)(A)(v); and

- a new actual emission and net emission in crease threshold was set at 10 TPY

of direct PM 2.5 emissions in subparagraph (c)(3)(B)(vi).

 In paragraph (e), relating to how actual emissions are calculated, an edit was made to specifically refer to the act ual emissions provisi on in subparagraph (c)(3)(B).

 In paragraph (g), relating to PALs, a cha nge was made to clar ify that the Federal PAL requirements in 40 CFR 52.21(aa) are adopted by reference in 18 AAC

50.040.

 Paragraph (i) was added to clarify that fugitive emissions are not included for purposes of determining if a minor permit is required, unless the source belongs to certain stationary source categorie s identified in 18 AAC 50.502(i).

Analysis The EPA is proposing to approve subparagraphs (c)(1), (2), and (3), which have been revised to appropriately refer to “b eginning actual construction,” “beginning relocation,” and “beginning a physical change to or a change in operation.” Previous subparagraph (c)(1) required an owner or operator to obt ain a minor permit before commencing construction, which corresponded gene rally to a date that occurred before actual construction began. The CAA, howev er, does not require a state to tie the obligation to obtain a minor permit to the comme nce construction date or to a date that occurs before actual construction begins. Alaska has accordingly changed the requirement to obligate a source to obtain a minor permit before “beginning actual

construction” consistent with the CAA and is approvable. In s ubparagraph (c)(2), the term “beginning actual” is added to clarif y a minor permit must be obtained before beginning actual construction, and in subparagraph (c)(3), the term “beginning” is added to clarify that a minor permit must be obtained before beginning a physical change to or a change in the method of operation. These changes to subparagraphs (c)(1), (2) and (3) are all consistent with the CAA and are approvable.

Subparagraphs (c)(1)(F), (c)(3)(A)(v) and (c)(3)(B)(v) establish the PM 2.5 thresholds for determining whether the owner or opera tor of a stationary source must obtain a minor permit for PM 2.5 . These new provisions stre ngthen the SIP by requiring PM 2.5 stationary sources above the specified thresholds to obtain a minor permit. These provisions are consistent with the Fede ral requirements in 40 CFR 51.160 through 164 and are approvable. We are proposin g to approve 50.502(e), (g), and (i) because they are consistent with CAA requirements and are clarifications to existing Federallyapproved rules.

18 AAC 50.508 Minor Permits Requested by the Owner or Operator

Summary19 of 29 This provision allows ADEC to issue a minor permit if requested by the owner or
operator to:

 Establish a PAL.

 Establish a limit to provide offsetting emissions to allow construction of a major source, major modification, or major PAL modification in a nonattainment area.

 Establish an owner-requested limit to a llow a stationary source to avoid a classification as a major or minor source.

 Revise or rescind existing perm it conditions in a title I permit

Alaska clarified in paragraph (5) when an owner-requested limit may be established and in paragraph (6) an exception for revisi ng or rescinding terms in a minor permit if they are solely necessary for a title V permit.

Analysis The EPA is proposing to approve the re-wordi ng of paragraph (5) as a clarification to the existing Federally-approved SIP. We are also proposi ng to approve a revision to paragraph (6) that refers to 18 AAC 50.510, whic h appropriately clarifies that a term in a minor permit solely necessary for a title V permit can be revised through the title V permit process.

Alaska repealed paragraphs (1) and (2) related to clean unit and pollution control project exclusion provisions. The repeal of these provisions is consistent with the EPA’s repeal of these provisions as part of the major source permitting programs.

18 AAC 50.509 Construction of a Pollution Control Project Without a Permit

Summary and Analysis Alaska submitted repealed 18 AAC 50.509 to the EPA for approval. Because this provision was not previously approved in to the Federally-approved SIP, it is unnecessary to approve this repeal.

18 AAC 50.510 Minor Permit – Ti tle V Permit Interface

Summary and Analysis Newly added 18 AAC 50.510 provides that certain terms or conditions established in a minor permit under 18 AAC 50.542 solely for title V purposes can be revised through the applicable title V revision process. The EPA is proposin g to approve this provision because it makes permit terms established in a minor permit solely under the authority of title V subject to the title V permit revision provisions.

18 AAC 50.540 Minor Permit: Application

Summary This provision contains application requi rements for each classification of minor permits. The section identifies what an applicant must submit by citing a Federal regulation where the required information is listed, describing what the applicant must20 of 29 show, or citing an applicable form. The forms specify the required information. The purpose of each form is to allow ADEC to make a determination considering the approval criteria given in the permit revi ew and issuance section (18 AAC 50.542).

Alaska revised subparagraph (c)(2) to re ference the ambient air quality analysis methods in 18 AAC 50.215(b) through (e) fo r making demonstrations that proposed potential emissions will not interfere with th e attainment or maintenance of the ambient air quality standards at 18 AAC 50.0 10, except to the extent that a NO 2 exemption in paragraph (l) applies. Alaska also update d subparagraph (c)(2)(B) to include the need

for a PM 2.5 ambient analysis for portabl e oil and gas operations.

In addition, Alaska revised paragraph (d) to cl arify that this paragraph relates to carbon

monoxide nonattainment areas and not nonatt ainment areas for other pollutants.

Alaska also repealed paragraphs (f) and (g ) relating to clean units and pollution control projects. The repeal of these provisions is consistent with the EPA’s repeal of these provisions as part of the major source permitting programs.

Alaska revised paragraph (j) relating to a pplication requirements for owner-requested limits to more specifically reference the paragraph in 18 AAC 50.508 relating to ownerrequested limits. Minor edits were also made to match changed numbering elsewhere

in 18 AAC 50.

Alaska revised paragraph (k) relating to a pplications for revising or rescinding terms and conditions to more specifically refe rence the paragraph in 18 AAC 18.508 that relates to revising or rescinding permit te rms and conditions. Alaska also revised subparagraph (k)(3) to require the application to include the effect of revising or revoking the permit term or condition on any underlying ambient demonstration.

Finally, Alaska added paragraph (l) that exempts a permit applicant from the requirement to demonstrate compliance with the one-hour NO 2 standard in 18 AAC 50.010(5)(B), unless the department finds th at the emissions have a reasonable likelihood of causing or signifi cantly contributing to ambi ent concentrations that

exceed the one-hour NO 2 standard, and makes a written request for a demonstration.

Analysis The EPA is proposing to approve the revi sions to18 AAC 50.540(c )(2) because they clarify the air quality analysis methods for demonstrating attainment or maintenance of the ambient air quality standards. We are also proposing to approve the NO 2 exception in 50.540(l) because it only pertains to th e content of the application and does not change the requirements for air quality anal ysis during the permit review process that continue to apply under 18 AAC 50.542(f). We are also proposing to approve the

revisions to 18 AAC 50. 540(d), (j), and (k) because they either clarify existing rule language or add requirements that will assist in the implementation of these provisions.

18 AAC 50.542 Minor Permit: Review and Issuance21 of 29 Summary This provision has two administrative proced ures for issuing source-specific minor permits – a fast track procedure and a pro cedure that has a full 30-day public comment period.

Alaska revised this provision to exclude s ources in certain areas from fast track procedures. Alaska added the Municipality of Anchorage, the City of Fairbanks, within Fort Wainwright, and within Eielson Air For ce Base to the list of excluded areas.

This section also contains criteria fo r approval and denial of minor permits. Importantly, ADEC is required to deny an application for a minor permit if ADEC determines construction or ope ration of the source would violate an emission limit in Alaska’s rules or a NAAQS. The rule cont ains additional criteria for approval and denial of minor permits for sources in certa in locations (e.g., Port of Anchorage) and certain types of minor permits (e .g., PAL permit, owner-requested limit).

Alaska revised subparagraph (c)(2)(A) by se tting, for a new stat ionary source or modification, the PM 2.5 concentration that, if modeled to be at or below that concentration, can be used to show complian ce with the ambient standard. Alaska did not change the levels for PM 10 , SO 2 , and NO 2 but there are minor wording changes to account for the change to the PM 2.5 level.

Alaska also added subparagraph (c)(2)(D) to allow, for a modification, a previous ambient analysis for that source to be used if it adequately characterizes the source

before modification and if the sum of the highest ambient air c oncentration plus the previous background concentration plus the highest predicted con centration resulting

from the increase is less th an the ambient standard.

Alaska also repealed subparagraph (f)(4 ), which relates to clean units, and subparagraph (f)(5), which relates to polluti on control projects, and revised paragraph (g) to remove the references to clean unit and pollution control pr oject. The repeal of these paragraphs and removal of these referenc es is consistent with the EPA’s repeal of these provisions in the major new source review programs.

Analysis The EPA is proposing to approve in paragr aph (a) a revision excluding sources in the additional areas of the Municipality of Anchorage, the City of Fairbanks, Fort Wainwright, and Eielson Air Fo rce Base from fast track procedures. In these areas, ADEC will provide a 30-day public comment period for sources regardless of whether a public comment peri od was requested.

We are proposing to approve in subp aragraph (c)(2)(A) th e addition of a PM 2.5 screening level (50 percent of the PM 2.5 ambient air quality standard) for use in determining if the fast-track procedure in subparagraph (c)(2) is av ailable for issuing a minor permit. We are proposing approval of this PM 2.5 screening level because it is reasonable and appropriate to offer the fast-t rack procedure to s ources that can show compliance with the NAAQS using a conservativ e approach. The screening level of 5022 of 29 percent of the PM 2.5 standard is set well below the ambient air quality standard for

PM 2.5 and appropriately conserva tive for showing compliance.

We are also proposing to a pprove in subparagraph (c)(2)(D ) an alternative way to determine if the fast-track procedure in subparagraph (c)(2) is available for a modification. This provision provides for th e computation of the sum of the highest concentrations from previous analysis, the previous background c oncentrations and the highest predicted ambient air concentrations . The fast-track procedure may be used only if the resulting value is less than the ambient air quality standard. We are proposing approval of this provision because it is an appropriately conservative approach that relies on the highe st predicted concentrations for use in comparing to the ambient air quality standard a nd is appropriately c onservative for showing compliance.

Consistent with our 2007 action, we are pr oposing to approve the remaining portion of 18 AAC 50.542, except that we are proposing to not approve subpa ragraph (b)(2) (72 FR 45378). Subparagraph (b)(2) allows ADEC to require the owner/operator to submit their permit applications online. Alaska did not submit the appropriate documentation to allow the EPA to evaluate the approvability of Alaska’s Online System with respect

to the EPA’s Cross-Media Electronic Re porting Rule (CROMERR). See 70 FR 59848 (October 13, 2005). Therefore, we are pr oposing to not approve subparagraph (b)(2)

that allows for electronic submissions.

18 AAC 50.544 Minor Permits: Content

Summary This provision sets forth what a minor permit must contain.

Alaska added subparagraphs (a)(5), (a)(6), and (a)(7) to ensure that minor permits include standard permit conditions as appl icable, conditions to protect ambient air quality, and conditions require d under 40 CFR part 71 when a minor permit is added to a title V permit by administrative amendment under 18 AAC 50.542(e).

Alaska revised subparagraph (c)(3) to ensure that permits contain requirements that the manufacturer’s or operator’s ma intenance procedures be kept.

Also, Alaska repealed paragraph (e) related to the pollution control project exclusion. The repeal of this provision is consistent with the EPA’s repeal of these provisions from the major new source review programs.

In addition, Alaska revised paragraph (h) so owner-requested limits are no longer issued under letters of approval, but are instead issued in permits.

Analysis The EPA is proposing to approve subparag raphs (a)(5) and (a)(6) because they correspond to the clarifica tion in 18 AAC 50.345 that re quires the standard permit

conditions of that section to apply to minor permits. We are proposing to approve subparagraph (a)(7) because this provision establishes the process for accommodating23 of 29 an owner or operator request to add the condi tions of a minor perm it to a title V permit and because this provision is not contrary to any CAA requirement. We are proposing to approve subparagraph (c)(3) and paragraph (h) as clarifications of the terms and conditions that are required to be included in a permit.

18 AAC 50.546 Minor Permits: Revisions

Summary This provision sets forth the procedures fo r revising minor permits. In general, the procedures for revising a minor permit are th e same procedures that apply to initial issuance of a minor permit.

Alaska revised paragraph (a) to specify that the department can initiate a minor permit

revision.

Analysis We are proposing to approve 18 AAC 50.546, except paragraph (b) which authorizes

ADEC to revise “non-substantive elemen ts of a minor permit without further administrative procedures.” As disc ussed in our August 14, 2007 (72 FR 45378), rulemaking, the EPA did not approve paragraph (b) because it does not adequately

define the class of revisions that can be made without public review. For the same reason we are proposing to not approv e paragraph (b) in this action.

Article 7. Conformity

Revisions to this article were submitted in the October 21, 2011, submittal. We are not addressing these revisions in this action. We intend to address these revisions in a separate action.

Article 9. General Provisions

18 AAC 50.990 Definitions

Summary and Analysis

18 AAC 50.990 sets out definitions and also a dopts by reference applicable definitions

set forth in Federal rules.

 Alaska repealed paragraph (21) “cle an unit.” We are proposing to approve the removal of this term as consistent with the EPA’s repeal of the “clean unit” provisions from the EPA’s major NSR permitting requirements.

 Alaska repealed paragraph (35) “expected annual arithmetic mean.” We are proposing to approve the removal of this term because this term was defined for purposes of the Federal annual PM 10 NAAQS. This standard was revoked on October 17, 2006 (71 FR 61144) , making the term “expected annual arithmetic mean” no longer necessary.24 of 29  Alaska repealed paragraph (36) “exp ected number.” We are proposing to approve the removal of this term becau se this term was defined for purposes of the Federal one-hour ozone NAAQS . On August 3, 2005 (70 FR 44470), this standard was revoked making th e term “expected number” no longer

necessary.

 Alaska revised paragraph (42) “good engineering practice stack height” to reference the requirements of 40 CFR 51.100(ii) as revised as of July 1,

2007. The EPA has not revised this de finition since July 1, 2007. We are therefore proposing to approve this updated adoption by reference because it is consistent with current EPA regulations.

 Alaska revised paragraph (47) “impairm ent of visibility.” We are proposing to approve paragraph (47) as consistent with the Federal definition of this term in 40 CFR 51.301 and with our previous approval of 18 AAC 50.260(q). 78 FR 10546 (February 14, 2013).

 Alaska revised paragraph (59) “modif ication” or “modify” to mean the definition of modification in 42 USC 7411(a) (CAA, sec. 111(a)). This definition is approvable because it refl ects the already-established Federal

definition for this term.

 Alaska revised paragraph (63) “nonroa d engine” to have the meaning given in 40 CFR 89.2 as revised as of September 18, 2007. The EPA has not revised this definition since Sept ember 18, 2007. We are therefore proposing to approve this updated ad option by reference of the Federal

definition because it is consiste nt with current EPA regulations.

 Alaska repealed paragraph (77) “ pollution control project.” We are proposing to approve the removal of th is term consistent with the EPA’s repeal of the “pollution control projec t” provisions from the EPA’s major NSR permitting requirements.

 Alaska revised paragraph (88) “recons truct” and “reconstruction.” We are proposing to approve paragraph (88) as consistent with the Federal

definition of this term in 40 CFR 51. 301 and with our previous approval of 18 AAC 50.260(q). (78 FR 10546, February 14, 2013).

 Alaska revised the defined term in paragraph (91) from “regulated air pollution” to “regulated air pollutant.” We are proposi ng to approve this change because the term now correctly reflects the term “regulated air pollutant” that is esta blished in Federal regulations at 40 CFR 51.165,

51.166 and 52.21.

Alaska revised paragraph (92) “regulated NSR pollutant” to have the meaning given in 40 CFR 52.21(b)(50) adopted by reference in 50.040(h). We are proposing to approve this revision because it reflects the already established Federal definition for this term,25 of 29 except that for the reasons given in th e discussion of 18 AAC 50.040(i), we are deferring action on the revision to this de finition as it relate s to 18 AAC 50.040(i), which adopts by reference the Federal nona ttainment NSR regulations at 40 CFR

51.165.

 Alaska revised paragraph (121) “vol atile organic compound” to have the meaning given in 40 CFR 51.100(s) as revised as of July 1, 2009. We are proposing to approve this update d adoption by reference date.

 Alaska added new definitions at pa ragraph (126) through (128) and (130) through (132) including “PAL,” “reg ional administrator,” “PM-2.5,” “transportation improvement plan,” “CO2 equivalent emissions,” and “greenhouse gases.” We have reviewed these definitions and they are approvable because they reflect the already-established Federal definitions for these terms at 40 CFR 51.165, 51.166 and 52.21.

Alaska Statutes

Summary and Analysis In addition to our review of regulatory change s to 18 AAC 50, we revi ewed Alaska statutory provisions submitted as part of the January 28, 2013 submittal. Specifically, the submittal included portions of Alaska Statutes Chapters 44.46 “Department of Environmental Conservation;” 46.03 “Declaration of Policy;” and 46.14 “Air Quality Control.” Based on our review, these submitted statutes continue to provide Alaska with adequate legal authority to carry out the requirements of the Alaska SIP as set forth in sections 110 and 114 of the CAA and its implementing regulatio ns, in particular 40 CFR 51.230.

Certain aspects and provisions, however, merit fu rther discussion. First, the EPA’s authority to approve SIPs extends to pr ovisions related to attainment and maintenance of the NAAQS, and carrying out other specific requirements of section 110 of the CAA. Therefore, our review of the submitted statutory provisions is limited in that respect

.

Second, AS 46.14.540 “Authority of Department in Cases of Emergency” states that, under certain circumstances, the commissioner may waive procedural requirements of AS Chapter 46.14 and issue an order to authorize emergency use of the emissions unit. This statutory provision authorizes ADEC to i ssue a variance to State regula tions approved into the SIP without meeting state regulatory requirements for revising a regulation or permit and without a SIP revision. Section 110(i) of the CAA, however, specif ically precludes states from changing the requirements of the SIP, except through SIP revisions approved by the EPA as provided in section 110 of the CAA and the implementing regulations at 40 CFR 51.100 to 51.105. See 78 FR 12460, 12485-86 (Feb. 22, 2013). For these reasons, we are proposing to not approve AS 46.14.540 “Aut hority of Department in Cases of Emergency” into the SIP.

Third, AS 46.14.560 “Unavoidable Malfunctions and Emergencies” provides an affirmative defense to an action for noncompliance with a technology-based emission standard for excess emissions “caused by an unavoidable emergenc y, a malfunction, or nonroutine repairs of an

emissions unit” when asserted under regulations adopted by ADEC under AS26 of 29 46.14.140. This statutory provision is the ba sis for 18 AAC 50.240 “Excess Emissions.” Both the AS 46.14.560 and 18 AAC 50.240 are currently approved into the Alaska SIP. The

current SIP submission includes a resubmissi on of AS 46.14.60 with two minor changes but does not include a resubmission of 18 AAC 50.240. On February 22, 2013, the EPA proposed a SIP call in which the EPA identified deficiencies in the startup, shutdown, and malfunction provisions of numerous states , including Alaska’s regulation 18 AAC 50.240. 78 FR 12460 (proposed SSM SIP call). In light of the proposed SSM SIP call, we are not taking action on Alaska ’s submission of AS 46.14.560 at this time, but we intend to

take action on that submi ssion at a later date.

Fourth, AS 46.14.510(b) relates to maintenance of motor vehicle ai r pollution control equipment. We incorporated by reference AS 46.14.510(b) on November 18, 1998 (63 FR 63983). We are removing the incorporati on by reference of AS 46.14.510(b) because the provision is addressed by inco rporation by reference elsewhere in the Federally-approved SIP (at 18 AAC 52.015(a), (b), 52.990(66)(B) and 52.100(d)(3)).

In general, the EPA is not proposing to inco rporate by reference th e statutory provisions submitted by Alaska to avoid potential conflict with the EPA’s independent authorities. However, we are proposing to con tinue to incorporate by reference updated Sec. 46.14.550 (63 FR 63983, November 18, 1998) and the definitions in updated Sec. 46.14.990

where a definition in 18 AAC 50.990 states th at it has the meaning given in Sec. 46.14.990

and where it relates to attainment or main tenance of the NAAQS or other specific requirements of section 110 of the CAA. These incorporated by reference definitions are AS 46.14.990 (4) “building, structure, facility, or installation,” (5) “commissioner,” (8) “department,” (15) “local air quality contro l program,” (16) “major modification,” (17) “major stationary source,” (18) “opera ting permit,” and (27) “tank vessel.”

C. Proposed Action

1. Provisions the EPA is Proposing to A pprove and Incorporated by Reference Consistent with the discussion and analysis a bove, the EPA is proposing to approve into the SIP at 40 CFR part 52, subpart C, the Alaska laws and regulations listed in the table below.

Note that in those instances where ADEC subm itted multiple revisions to a single section of 18 AAC 50, the most recent version of that secti on (based on state effective date) is proposed to be incorporated into the SIP as it supersedes all previous revisions.

Table 2: Alaska Provision for Proposed Approval and Incorporation by Reference

State

Citation Title/Subject State

Effective Date Explanation

18 AAC

50.010 Ambient Air Quality

Standards 1/4/2013 Except (7) and (8).

18 AAC

50.015 Air Quality Designations, Classifications, and Control Regions 12/9/201027 of 29 18 AAC

50.020 Baseline Dates and Maximum

Allowable Increases 1/4/2013

18 AAC

50.035 Documents, Procedures, and Methods Adopted by

Reference 1/4/2013 Except (a)(6) and (b)(4).

18 AAC

50.040 Federal Standards Adopted by

Reference 1/4/2013 Except (a), (b), (c), (d), (e), (g), (h)(7), (h)(9), (h)(17), (h)(18), (h)(19), (h)(21), (i), (j), and (k).

18 AAC

50.050 Incinerator Emission

Standards 7/25/2008

18 AAC

50.055 Industrial Processes and FuelBurning Equipment 12/9/2010 Except (d)(2)(B).

18 AAC

50.215 Ambient Air Quality Analysis

Methods 1/4/2013 Except (a)(4) and (d).

18 AAC

50.220 Enforceable Test Methods 9/14/2012 Except (c)(1)(A), (B) (C), and (c)(2).

18 AAC

50.225 Owner-Requested Limits 9/14/2012

18 AAC

50.302 Construction Permits 9/14/2012 Except (a)(3).

18 AAC

50.306 Prevention of Significant Deterioration (PSD) Permits 1/4/2013

18 AAC

50.345 Construction, Minor and Operating Permits: Standard

Permit Conditions 9/14/2012 Except (b), (c)(3), and (l).

18 AAC

50.400 Permit Administration Fees 9/14/ 2012 Except (a), (b), (c), (d), (f), (j)(1) through (j)(18), (j)(21) through (j)(23), and (k).

18 AAC

50.502 Minor Permits for Air Quality

Protection 1/4/2013

18 AAC

50.508 Minor Permits Requested by the Owner or Operator 12/9/2010

18 AAC

50.510 Minor Permit: 18 AAC

50.510 Minor Permit – Title

V Permit Interface 12/9/2010

18 AAC

50.540 Minor Permit: Application 1/4/2013

18 AAC

50.542 Minor Permit: Review and

Issuance 1/4/2013 Except (b)(2).

18 AAC

50.544 Minor Permits: Content 12/9/201028 of 29 18 AAC

50.546 Minor Permits: Revisions 7/15/2008 Except (b).

18 AAC

50.990 Definitions 9/14/2012 Except (92) as it

relates to 18 AAC 50.040(i).

AS

46.14.550 Responsibilities of Owner and Operator; Agent for Service 1/4/2013

AS

46.14.990 Definitions 1/4/2013 Except (1)-(3), (6), (7), (9)-(14), (19)- (26), and (28).

As discussed above, EPA proposes to find that the statutes submitted by ADEC in its SIP revisions, with the exceptions discussed above, continue to provide Alaska with adequate legal authority to carry out the requirements of the Alaska SIP. In general, the EPA is not proposing to incorporate by reference the stat utory provisions submitted by Alaska to avoid potential conflict with the EP A’s independent authorities.

2. Provisions the EPA is Proposing to Not Approve

The EPA is proposing to not approve the follo wing provisions for the reasons discussed

above:

 18 AAC 50.010 “Ambient Air Quality Standa rds,” paragraphs (7) and (8).

 18 AAC 50.030 “State Air Qu ality Control Plan.”

 18 AAC 50.035 “Documents, Procedures, and Methods Adopted by Reference,” subparagraphs (a)(6) and (b)(4).

 18 AAC 50.040 “Federal Standards Adopted by Re ference,” paragraphs (a), (b), (c), (d), (e), (g), (j) and (k), and subparagraph (h)(21).

 18 AAC 50.055 “Industrial Processes and Fu el-Burning Equipment,” subparagraph (d)(2)(B).

 18 AAC 50.215 “Ambient Air Quality Analys is Methods,” subparagraph (a)(4).

 18 AAC 50.220 “Enforceable Test Met hods,” subparagraph (c)(2).

 18 AAC 50.326 “Title V Operating Permits,” paragraph (e).

 18 AAC 50.345 “Construction and Operating Permits: Standard Permit Conditions,” paragraph (l).

 18 AAC 50.346 “Construction and operati ng permits: other permit conditions,” subparagraphs (a), (b) and (c).

 18 AAC 50.400 “Permit Administra tion Fees,” paragraph (a).

 18 AAC 50.542 “Minor Permit: Review and Issuance,” subparagraph (b)(2).

 18 AAC 50.546 “Minor Permits: Re visions,” paragraph (b).

 AS 46.14.540 “Authority of Departme nt in Cases of Emergency.”

3. Provisions the EPA is Removing from th e SIP or from Incorporation by Reference

Under the authority of CAA section 110(k)(6), the EPA is removing the following provisions from the SIP because they implement other re quirements of the CAA and the State has not29 of 29 relied on these provisions to demonstrate atta inment or maintenance of the NAAQS or to meet other specific requirements of section 110 of the CAA: 18 AAC 50.220(c)(1)(A), (B), (C) and 18 AAC 50.302(a)(3).

The EPA is also removing 46.14.510(b), which wa s incorporated by reference on November 18, 1998 (63 FR 63983). The provision is addresse d by incorporation by reference elsewhere in the Federally-approved SIP.

4. Provisions the EPA is Taking No Action On

As detailed above, the EPA is taking no ac tion on the following Alaska provisions. We

intend to address these cha nges in a separate action.

 18 AAC 50.040 “Federal Standards Adopted by Reference” paragraph (i) (adoption by reference of Federal nonattainment NSR regulations at 40 CFR 51.165).

 18 AAC 50 Article 7 “Conformity.”

 AS 46.14.560 “Unavoidable Malfunctions and Emergencies.”